Scotiabank Equity Powered GIC
Consider this GIC if you:
Want 100% principal protection.
Want the potential to enhance your GIC returns by benefitting from the return potential of equity investments.
Want to invest for two years or longer.
Want the potential to earn a higher, variable return instead of the guaranteed, fixed return of a traditional GIC.
Invest for growth or income.
Select with or without a minimum guaranteed rate.
Issued by The Bank of Nova Scotia, Montreal Trust Company of Canada and National Trust Company.
Deposits are eligible to be insured under the CDIC Act only if they are in Canadian currency, have a term of 5 years or less and are payable in Canada
Scotiabank Equity Powered GICs at a glance
|Canadian Income||Canadian Guaranteed Return||Canadian Growth||American Growth||Global Growth|
|Term in years||2, 3 or 5||2, 3, or 5||2, 3, or 5||2, 3, or 5||2, 3, or 5|
annual guaranteed interest rate
|Paid annually||Compounded and paid at maturity||None||None||None|
|Paid annually||Paid at maturity||Paid at maturity||Paid at maturity||Paid at maturity|
|Linked to||Basket of Canadian Shares||Basket of Canadian Shares||Basket of Canadian Shares||Basket of U.S. Shares||Basket of Global Shares|
|Minimum investment||$500 (Canadian Dollars Only)|
|Principal||100% Principal Guarantee|
How do Equity Powered GICs compare with other investments?
Equity Powered GIC
|Regular GIC||Scotia Stock Indexed GIC||Direct Market/Stock Investment|
|Can be redeemed?||No||No||No||Varies|
|Offers minimum guaranteed rate?||Yes, for Canadian Income and Canadian Guaranteed Return||Yes, full rate guarantee||No||No|
|Return Calculation||Linked to a diversified Basket of Shares||Fixed interest rate||Linked to the performance of a stock market index||Determined by performance of investment|
Registered trademarks of The Bank of Nova Scotia.
This is the maximum potential cumulative interest rate over the entire term of the Canadian Growth Equity Powered GIC. At maturity, the interest rate to be earned is calculated and paid within certain predetermined ranges based on the price performance of the underlying basket of shares of Canadian companies. There is no minimum interest rate guarantee and actual interest rate could be as low as 0% over the 2-year term and 3-year term. Minimum investment is $500. These maximum potential interest rates are available from 13 February 2019 – 12 March 2019 and are subject for change. For full details, speak to a Scotiabank advisor. Equity Powered GICs are CDIC eligible.
Maximum Potential Return is the highest possible return and includes the minimum annual guaranteed interest rate.
Interim Period: Between the day you purchase the Scotiabank Equity Powered GIC and the issue date, you will earn interest. The "Terms & Conditions" explain how this interim interest is calculated.
Your Principal: Your Principal ("Principal") is your purchase amount plus any interim interest earned between the purchase date and issue date. The principal is guaranteed and will be paid back to you at maturity. The Principal will include any interim interest earned between the purchase date and the issue date.
Return: The return you will receive on your Scotiabank Equity Powered GIC upon maturity or at anniversary dates (applicable only for Scotiabank Equity Powered GIC Canadian Income) is determined by the price performance of an underlying Basket of Shares of Canadian or US companies, subject to a maximum for each share. For Scotiabank Equity Powered GIC Canadian Income, any negative return for a particular Share will be limited to -5% for purposes of calculating the annual average Share return of the Basket. For the Scotiabank Equity Powered GICñ Canadian Guaranteed Return, Scotiabank Equity Powered GIC Canadian Growth or Scotiabank Equity Powered GICs American Growth, there is no floor on any share's negative contribution to the average of share returns. If you purchase the Scotiabank Equity Powered GICsñ Canadian Income or the Scotiabank Equity Powered GIC Canadian Guaranteed Return, Scotiabank provides a minimum annual guaranteed interest rate that will be paid to you regardless of the price performance of an underlying Basket of Shares. For specific details and detailed examples of how the return is calculated, please download this product's Fact Sheet on this page and see the Terms & Conditions "How is the Return Calculated?".
Registered Deposits: If your Scotiabank Equity Powered GIC will be purchased with monies transferred from an RRSP or RRIF, your Scotiabank Equity Powered GIC purchase amount will be equal to the amount actually received. The interim interest rate, purchase date, maximum return and minimum annual guaranteed interest rate for your GIC will be based on the date the transferred monies are received, not the date on which the transfer request is initiated. The specifics of this information will be provided to you after the issuer of your Scotiabank Equity Powered GIC has received the transferred monies. Please download the product's Fact Sheet and see the Terms & Conditions for more details.
Suitability: A Scotiabank Equity Powered GIC is different from a fixed rate investment. Though your principal is always guaranteed, there is a greater level of risk associated with a Scotiabank Equity Powered GIC than with a fixed rate investment because it does not provide a fully guaranteed rate of return (with the exception of interim interest earned until its issue date or Scotiabank Equity Powered GICs with a minimum annual guaranteed interest rate). The Scotiabank Equity Powered GIC Canadian Growth and the Scotiabank Equity Powered GICñ American Growth may not provide any return. The Scotiabank Equity Powered GIC Canadian Guaranteed Return and Scotiabank Equity Powered GIC Canadian Income may not provide any return in excess of the minimum annual guaranteed interest rate. Therefore, an investment in a Scotiabank Equity Powered GIC is only suitable for investors prepared to assume risks related to the return.
- Your Scotiabank Equity Powered GIC is not redeemable before maturity, except in the event of your death. Please download the product Fact Sheet on this page and see the 'Terms & Conditions' for more details.
- Your Scotiabank Equity Powered GIC will not be amended, except in cases specified in the Terms & Conditions.
- After your Scotiabank Equity Powered GIC is issued, the following information is available on request (a) the net asset value of your GIC on the date you specify and how that value is related to the return payable under your GIC; or (b) the last available measure before the date you specify of the average share returns of the Shares in the Basket and how that measure is related to the return payable under your GIC. Complete information (including historical information about previously matured Scotiabank Equity Powered GIC) is available at www.scotiabank.com, at any Scotiabank branch or by mail by contacting your branch.
Potential Conflicts of Interest: Scotiabank will calculate the amount, if any, of return to be paid to you. Scotiabank's determinations and calculations will be conclusive for all purposes and binding on you. Consequently, potential conflicts between your interests and Scotiabank's interests may arise. In addition, Scotiabank and its affiliates may hold interests in or securities of, extend credit to or enter into other business dealings with one or more of the entities whose Shares are included in the Basket. Please see "Terms and Conditions Your Risks" for more information on conflicts of interest.
Right of Cancellation: You are entitled to a right of cancellation, which must be exercised within two days after the later of (a) the date on which this agreement to purchase is entered into and (b) the day on which the Fact Sheet is provided to you. Upon cancellation of the purchase of Scotiabank Equity Powered GICs, you will be entitled to a refund of the principal invested. To exercise your right of cancellation, you may contact your branch advisor.
ωGlobal refers to globally operated companies.